# Public float

> The portion of a company's outstanding shares held by non-affiliates, excluding stock owned by officers, directors and controlling holders.

Source: https://www.quantisnow.com/glossary/public-float
Topic: Glossary / Earnings and fundamentals
Also known as: float, free float, floating shares
Last updated: 2026-10-27

Public float is the number (or market value) of a company's outstanding shares held by non-affiliates, meaning investors other than officers, directors and controlling shareholders. These are the shares that realistically trade in the open market. Float is always equal to or smaller than [shares outstanding](https://www.quantisnow.com/glossary/shares-outstanding).

## How it works

Public float = shares outstanding - shares held by affiliates (and, in many data sources, other restricted or locked-up shares)

Data providers calculate float differently, so the same stock can show different numbers. The SEC uses the market value of shares held by non-affiliates (the aggregate market value reported on the 10-K cover) for regulatory purposes:

- **Filer status:** public float of $700 million or more generally makes a company a large accelerated filer; $75 million to under $700 million an accelerated filer, which affects filing deadlines and auditor attestation requirements.
- **Smaller reporting company:** public float under $250 million qualifies (with a revenue-based alternative).
- **Baby shelf rule:** a company with public float under $75 million using a Form S-3 shelf can generally sell no more than one-third of its public float in any 12-month period.

## Why it matters for traders

Float drives supply. A low-float stock can move violently on modest buying, which is why small-cap momentum traders screen for it. Short interest is usually quoted as a percentage of float, and high [short interest](https://www.quantisnow.com/glossary/short-interest) on a small float is the classic setup for a [short squeeze](https://www.quantisnow.com/glossary/short-squeeze). Float can jump suddenly when a [lock-up period](https://www.quantisnow.com/glossary/lock-up-period) expires or an offering closes, adding supply.

## Example

Cobalt Ridge Mining (ticker CBRM) has 30 million shares outstanding. Insiders and a controlling holder own 18 million, so the float is 12 million shares. At $4 per share, the public float is worth $48 million, under $75 million, so CBRM's S-3 sales are capped at about $16 million in a 12-month period.

## FAQ

### What is a low-float stock?

There is no official cutoff, but traders often use the term for stocks with only a few million to roughly 20 million freely tradable shares.

### Is float the same as shares outstanding?

No. Float excludes shares held by affiliates, so it is smaller.

## Related terms

- [Shares outstanding](https://www.quantisnow.com/glossary/shares-outstanding.md): The total number of a company's shares currently held by all shareholders, including insiders and institutions, excluding treasury shares.
- [Market capitalization](https://www.quantisnow.com/glossary/market-capitalization.md): The total market value of a company's outstanding shares, calculated as the share price multiplied by the number of shares outstanding.
- [Short interest](https://www.quantisnow.com/glossary/short-interest.md): The total number of a company's shares that have been sold short and not yet covered, reported by brokers to FINRA twice a month.
- [Short squeeze](https://www.quantisnow.com/glossary/short-squeeze.md): A rapid price rise driven by short sellers buying back shares to limit losses, which pushes the price higher and forces more covering.
- [Form S-3](https://www.quantisnow.com/glossary/form-s-3.md): The short-form SEC registration statement seasoned public companies use to register securities, most often for shelf offerings.
- [Lock-up period](https://www.quantisnow.com/glossary/lock-up-period.md): A contractual window after an IPO or offering, commonly 180 days, during which insiders and early investors agree not to sell their shares.

## On Quantisnow

- [Shelf offerings and dilution](https://www.quantisnow.com/guides/shelf-offerings-and-dilution)
- [Short volume screener](https://www.quantisnow.com/screener/short-volume)
- [Short volume vs short interest](https://www.quantisnow.com/guides/short-volume-vs-short-interest)
- [Days to cover calculator](https://www.quantisnow.com/tools/days-to-cover-calculator)